Publications

Energy Policies of IEA Countries: Greece 2011

This 2011 review of energy policy in Greece finds that increasing competition and
reducing the role of the state in the energy sector should add efficiency and dynamism
to the economy. This, in turn, should help generate self-sustained employment and
prosperity for the country.

Reforming the electricity and gas markets is an economic and political imperative.
In particular, regulatory authorities must be given the necessary power and independence
to reduce the market power of dominant firms. Commendably, Greece adopted a law to
this end in August 2011. The envisaged reforms are fundamentally sound and can help
the economy grow. The governmentfs key focus should now be on implementing this law
in full without delay.

Greece has a large potential for wind and solar energy and is rightly determined
to fulfill this potential. The renewable energy sector also provides opportunities
for new industrial development, in particular if linked with R&D activities. To facilitate
renewable energy projects, the government recently improved investment conditions
significantly by increasing feed-in tariffs, shortening and simplifying the licensing
procedures and introducing stronger incentives for local acceptance.

Greecefs oil and gas sources are already well diversified. Gas use is projected
to increase, as the country moves to decarbonise its coal-dominated power sector.
Experience from IEA member countries has shown that enhancing energy efficiency can
help improve energy security in a cost-effective way. This, in turn, can help mitigate
climate change and deliver economic benefits.